Nano will cost Bengal hundreds of crores a year
Sources in the West Bengal government's finance department said the state had made budgetary provisions that would run into several hundred crores every year for 20 to 30 years to attract Tata Motors' [Get Quote] Nano project to Singur.
This payout was to begin from the scheduled start of the production in 2008. The project is now facing problems owing to protests by land-losers unwilling to compensation from the government.
Responding to questions raised on the basis of the contract signed between the state government, Tata Motors and West Bengal Industrial Development Corporation (WBIDC), the source said the state would also match any additional benefits accruing to factories in hill states like Uttarakhand, were these states to receive any further incentive packages in the future.
Image: The deserted Tata Motors' Nano plant in Singur, West Bengal. | Photograph: Deshakalyan Chowdhury/AFP/Getty Images
Also read: India's most and least corrupt states
Advertisement
